Abundance of Natural Gas From Marcellus Leads to Government Pipeline Investment Program to Connect the “Last Mile”…
Pennsylvania has embarked upon a economic grant program to make low-cost natural gas energy available to its residents, manufacturers and other organizations residing in the State. Realizing the economic competitive advantage which natural gas affords its residents in terms of energy consumption, the State is providing grants aimed at connecting the last few miles of natural gas distribution lines to businesses parks, existing manufacturers and industrial enterprises.
Enacted into legislation in late 2016, the Pipeline Investment Program is up and running under the auspices of the Commonwealth Financing Authority. The CFA has already made three grants this year totaling $2,442,274. Under the Program, eligible applicants are defined as:
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Economic Development Organizations;
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Businesses;
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Municipalities;
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Hospitals; and
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School Districts.
Each grant may be as large as One Million Dollars and funds may be used for defined costs associated with extending natural gas pipelines to serve eligible applicants. All eligible applicants shall provide matching funds of not less than 50% of the total project cost.
This Pipeline Investment Program is a direct offshoot of the tremendous supply of natural gas now flowing out of the Marcellus Shale and the State views this Program as a means to promote its economic competitive advantage in attracting and retaining businesses through access to low-cost natural gas.
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